This Blog will basically discuss economic issues, with some history and political events thrown in. The author is a mix of Conservative and Liberal impulses, with matching Authoritarian and Libertarian trends.

Wednesday, August 11, 2010

The Wild, Wild, Urban!!

There are those complaints that I never provide Charts or raw data. Charts require real labor, and the only thing I like raw is Meat. Here is a wealth of Charts and graphs, and it even deals with important material. I spent part of the morning talking with a Tire Dealer in my hometown, and his discussion of his recent trip to the Bahamas was vastly more entertaining than was his complaints of restricted Tire acquisition for Dealers. I have also talked to a number of other businessmen recently, all of whom complain that the corporate distributors will not accept Special orders, insisting on whole trailer deliveries; often composed of a wide assortment of which only a small part is of extreme value to the business. The Tire dealer states he is getting overstocked in certain sizes of tire, while meeting chronic shortage in mainstay sizes. There has been a reduction in distribution centers for Product supply across the board, and adamant refusal to fill Short Orders, all with the intent to cut the labor Costs of Corporations.

Distributors have only shifted the Cost of warehousing Product supply down onto the Retailer. This presents added Cost to both Retailer and Consumer; the first coming in the Cost of expensive Rent and delay of proper Product, the later in higher Costs in delays of Consumption and function of Product. I cannot be sure, but suspect that a great share of the 1.5 million closed Businesses would identify a like set of conditions coming from Suppliers. It would be nice if I could put a numeral set to the Cost of such practice, but can only state I feel this is a major cause of the bankruptcies.

It is indicative where Business decides to file for bankruptcy. The States chosen express among the lowest rates of bankruptcies in the main, meaning that Business is traveling to business-friendly States to file their bankruptcies. Business must feel that they will get a better deal within those States which do not have arcane Rules for doing business. It also means these companies have Interstate business which is getting interrupted, else they could not Shop their filings. None of this information bodes well for the American economy, and the serious Students should study the materials while taking Notes on the information. lgl